The local/UK Carillion Alawi is the frontrunner for the contract to build the new Kempinski hotel near Muscat for local developer The Wave.

The Kempinski will have 350 rooms with suites, as well as business and leisure facilities. The development was expected to open in the first quarter of 2013.

Three groups submitted bids for the contract in April. The other two bidders were:

• Douglas OHI (local/UK)
• Murray & Roberts Contractors (South Africa)/Bahwan Engineering (local)

Contractors had previously competed for the contract in 2011 and 2012.

The $3bn Wave scheme, located on the coast at Muscat, covers an area of 2.2 million square metres and includes 4,000 residential properties, four hotels, a 400-berth marina and retail facilities. The development will also include an 18-hole golf course designed by Greg Norman.  The mixed-use Wave project is being developed through a joint venture of UAE-based Majid al-Futtaim (MAF) and the Omani government.